Skip to navigationSkip to main contentSkip to right columnADVERTISEMENTLaura GrandeSat, July 18, 2026 at 3:45 PM GMT+2 10 min readPierre Perrin / Getty ImagesMoneywise and Yahoo Finance LLC may earn commission or revenue through links in the content below.Earlier this year, France pulled off a financial maneuver that turned old gold into billions.The strategy itself was relatively simple. Starting in mid-2025, France's central bank sold 129 metric tons of gold it had stored in New York and replaced it with newer, high-quality bullion held in Paris.The result? A roughly €13 billion, or $15.1 billion, profit (1).Must ReadTalking about the move, Francois Villeroy de Galhau, then-governor of the Bank of France, said the move was not motivated by politics. However, rather than replace the U.S.-held gold overseas, the bank instead decided to purchase European bullion for storage in Paris.Now, as central banks around the world continue buying gold and moving reserves closer to home, France's move is starting to look less like a one-off and more like part of a much bigger shift in how countries are managing their wealth. Across Europe, there's been growing pressure to bring gold reserves back home, especially those stored in the U.S. (2).And the trend is no longer confined to Europe. Central banks around the world have been buying gold at a pace not seen in decades.According to the World Gold Council's 2026 Central Bank Gold Reserves survey (3), 89% of reserve managers expect official gold holdings to increase over the next 12 months, and a record 45% said they expect their own institution's gold reserves to rise. The survey also found that concerns about inflation, interest rates and geopolitical instability remain the biggest drivers of gold demand.If that trend accelerates, it could signal something bigger: a gradual shift in how countries think about financial security, with potential effects for the dollar, markets and everyday investors.A simple trade with perfect timingIt's important to note that France didn't reduce its gold holdings at all. Instead, it swapped older gold bars for newer bullion that's easier to trade globally, while prices were elevated.Terms and Privacy PolicyEU DSA contactPrivacy & Cookie SettingsMore Info